A county's general fund has $4,000,000 in supplies on hand at the start of 2020. It purchases $25,000,000 in supplies and uses supplies costing $26,000,000 during 2020. If the county uses the purchases method to report supplies inventories, what balances appear in the general fund financial statements for 2020? Assume the supplies inventories are not material.

Select one:

A. Expenditures of $25,000,000 and fund balancenonspendable of $3,000,000

B. Expenditures of $26,000,000 and no nonspendable fund balance

C. Expenditures of $25,000,000 and no nonspendable fund balance

D. Expenditures of $26,000,000 and fund balancenonspendable of $3,000,000

A private NFP organization is required to report its expenses

Select one:

A. Only in functional classifications.

B. Only in natural classifications.

C. In both functional and natural classifications.

D. In both functional and natural classifications if it is a voluntary health and welfare organization; otherwise only in functional classifications.

Make-A-Wish Foundation accepts $40,000 in donations that are donor designated to specific wish granting activities. When the resources are spent for this purpose, the statement of activities will report:

Select one:

A. Net assets released, as a $40,000 increase in net assets with donor restrictions and a $40,000 decrease in net assets without donor restrictions, and expenses of $40,000, as a decrease in net assets with donor restrictions.

B. Net assets released, as a $40,000 decrease in net assets with donor restrictions and a $40,000 increase in net assets without donor restrictions, and expenses of $40,000, as a decrease in net assets without donor restrictions.

C. Expenses of $40,000, as a decrease in net assets with donor restrictions.

D. Expenses of $40,000, as a decrease in net assets without donor restrictions.